________________________________________________________________________________
SD/LSE/185/2024-25 19.08.2024
To
The London Stock Exchange
10 Paternoster Square
London
Dear Sir,
We enclose herewith the Un-Audited Standalone and Consolidated Financial Results of the Bank for the Quarter ended June 30, 2024 which was approved at the Bank's Board of Directors meeting held on July 24, 2024.
Kindly take the same on your record.
For The Federal Bank Limited
Sd/-
Samir P Rajdev
Company Secretary
| M S K A & Associates | Suri & Co |
| 602, Floor 6, Raheja Titanium | Guna Complex, No.443 & 445, |
| Western Express Highway, Geetanjali, | 4th Floor Main Building, |
| Railway Colony, Ram Nagar, Goregaon (E), | Anna Salai, Teynampet, |
| Mumbai 400 063. | Chennai 600 018. |
|
Independent Auditor's Review Report on standalone unaudited financial results for the quarter ended June 30, 2024 of The Federal Bank Limited pursuant to the Regulation 33 and Regulation 52 read with Regulation 63(2) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended. The Board of Directors of The Federal Bank Limited
1. We have reviewed the accompanying statement of standalone unaudited financial results of The Federal Bank Limited ('the Bank') for the quarter ended June 30, 2024 ('the Statement') attached herewith, being submitted by the Bank pursuant to the requirements of Regulation 33 and Regulation 52 read with Regulation 63(2) of the Securities and Exchange Board of India (Listing Obligation and Disclosure Requirements) Regulations, 2015 as amended ('the Regulations') except for the disclosures relating to Pillar 3 as at June 30, 2024, including leverage ratio, liquidity coverage ratio and net stable funding ratio under Basel III Capital Regulations as have been disclosed on the Bank's website and in respect of which a link has been provided in the Note 7 to the Statement and have not been reviewed by us.
2. This Statement, which is the responsibility of the Bank's Management and approved by the Bank's Board of Directors, has been prepared in accordance with the recognition and measurement principles laid down in Accounting Standard 25 'Interim Financial Reporting' ('AS 25') prescribed under section 133 of the Companies Act, 2013 ('the Act') read with relevant rules issued thereunder, in so far as they apply to the Banks, the relevant provisions of the Banking Regulation Act, 1949, the circulars, guidelines, directions issued by the Reserve Bank of India ('the RBI') from time to time ('the RBI Guidelines') and other recognized accounting principles generally accepted in India and is in compliance with the Regulations. Our responsibility is to express a conclusion on the Statement based on our review.
3. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity", issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement are free of material misstatement. A review consists of making inquiries primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing under Section 143 (10) of the Act and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
4. Based on our review, conducted and procedures performed as stated in paragraph 3 above, nothing has come to our attention that causes us to believe that the accompanying Statement prepared in accordance with the recognition and measurement principles laid down in AS 25, prescribed under Section 133 of the Act read with relevant rules issued thereunder, the RBI Guidelines and other accounting principles generally accepted in India has not disclosed the information required to be disclosed in terms of the Regulations, including the manner in which it is to be disclosed or that it contains material misstatement or that it has not been prepared in accordance with the relevant prudential norms issued by the RBI in respect of income recognition, asset classification, provisioning and other related matters, except for the disclosures relating to Pillar 3 disclosures as at June 30, 2024, including leverage ratio, liquidity coverage ratio and net stable funding ratio under Basel III Capital Regulations as have been disclosed on the Bank's website and in respect of which a link has been provided in the Note 7 to the Statement and have not been reviewed by us.
5. The Statement includes standalone unaudited financial results of the Bank for the corresponding quarter ended June 30, 2023, which were reviewed by another auditors whose report dated July 13, 2023 expressed an unmodified conclusion on those results.
Our conclusion is not modified in respect of this matter.
Independent Auditor's Review Report on consolidated unaudited financial results for the quarter ended June 30, 2024 of The Federal Bank Limited pursuant to the Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended.
The Board of Directors The Federal Bank Limited
1. We have reviewed the accompanying statement of consolidated unaudited financial results of The Federal Bank Limited ('the Bank') and its subsidiaries (the Bank and its subsidiaries together referred to as 'the Group'), its share of the net profit after tax of its associates for the quarter ended June 30, 2024 ('the Statement'), being submitted by the Bank pursuant to the requirement of Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended ('the Regulation') except, for the disclosures relating to consolidated Pillar 3 as at June 30, 2024, including leverage ratio, liquidity coverage ratio and net stable funding ratio under Basel III Capital Regulations as have been disclosed on the Bank's website and in respect of which a link has been provided in the Note 6 to the Statement and have not been reviewed by us.
2. This Statement, which is the responsibility of the Bank's Management and approved by the Bank's Board of Directors, has been prepared in accordance with the recognition and measurement principles laid down in Accounting Standard 25 'Interim Financial Reporting' ('AS 25') prescribed under section 133 of the Companies Act, 2013 ('the Act') read with relevant rules issued thereunder, in so far as they apply to the Banks, the relevant provisions of the Banking Regulation Act, 1949, the circulars, guidelines, directions issued by the Reserve Bank of India ('the RBI') from time to time ('the RBI Guidelines') and other recognized accounting principles generally accepted in India and is in compliance with the Regulations. Our responsibility is to express a conclusion on the Statement based on our review.
3. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity", issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing specified under section 143 (10) of the Act, and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
We also performed procedures in accordance with the circular issued by the Securities and Exchange Board of India under Regulation 33 (8) of the Regulations, to the extent applicable.
4. The Statement includes the results/ financial information of the Bank and the following entities:
5. Based on our review conducted and procedures performed as stated in paragraph 3 above and based on the consideration of the review report of the other auditor referred to in paragraph 6 below and based on the financial information certified by the Management for the associates as stated in paragraph 7 below, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with the recognition and measurement principles laid down AS 25 prescribed under Section 133 of the Act read with relevant rules issued thereunder, the RBI Guidelines and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of the Regulation, including the manner in which it is to be disclosed or that it contains any material misstatement or that it has not been prepared in accordance with the relevant prudential norms issued by the RBI in respect of income recognition, asset classification, provisioning and other related matters except for the disclosures relating to consolidated Pillar 3 disclosure as at June 30, 2024, including leverage ratio, liquidity coverage ratio and net stable funding ratio under Basel III Capital Regulations as have been disclosed on the Bank's website and in respect of which a link has been provided in the Note 6 to the Statement and have not been reviewed by us.
6. We did not review the interim financial information of two subsidiaries included in the statement, whose interim financial information reflect total revenues of Rs.49,886 Lakhs and total net profit after tax of Rs.5,311 Lakhs for the quarter ended June 30, 2024 as considered in the Statement. These interim financial information have been reviewed by other auditors whose reports have been furnished to us by the Management and our conclusion on the Statement, in so far as it relates to the amounts and disclosures included in respect of these subsidiaries, is based solely on the reports of the other auditors and the procedures performed by us as stated in paragraph 3 above.
Our conclusion is not modified in respect of the above matter.
7. The Statement includes the Group's share of net profit after tax of Rs. 741 Lakhs for the quarter ended June 30, 2024 as considered in the Statement, in respect of two associates, based on their interim financial information which have not been reviewed by their auditors. These interim financial information have been furnished to us by the Management and our conclusion on the Statement in so far as it relates to the amounts and disclosures included in respect of these associates is based solely on such Management prepared unaudited interim financial information. According to the information and explanations given to us by the Management, these interim financial information are not material to the Group.
Our conclusion is not modified in respect of the above matter.
8. The Statement includes consolidated unaudited financial results of the Bank for the corresponding quarter ended June 30, 2023, which were reviewed by another auditors whose report dated July 13, 2023 expressed an unmodified conclusion on those results.
Our conclusion is not modified in respect of the above matter.
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| THE FEDERAL BANK LIMITED | ||||||
| REGD.OFFICE: P.B.NO. 103, FEDERAL TOWERS, ALUVA-683101 | ||||||
| (CIN: L65191KL1931PLC000368) | ||||||
| STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED JUNE 30, 2024 | ||||||
|
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|
|
| (₹ in Lakhs) | |
| Particulars | Quarter ended | Year ended | ||||
| 30.06.2024 | 31.03.2024 | 30.06.2023 | 31.03.2024 | |||
| Unaudited | Audited | Unaudited | Audited | |||
| 1. Interest earned (a)+(b)+(c)+(d) | 6,33,088 | 5,97,835 | 5,02,453 | 22,18,826 | ||
| (a) | Interest/discount on advances/bills | 5,02,614 | 4,74,189 | 4,03,958 | 17,73,452 | |
| (b) | Income on investments | 1,10,825 | 1,03,255 | 81,486 | 3,69,162 | |
| (c) | Interest on balances with Reserve Bank of India and other inter bank funds | 10,269 | 9,837 | 7,093 | 33,887 | |
| (d) | Others | 9,380 | 10,554 | 9,916 | 42,325 | |
| 2. Other income (Refer note 4) | 91,518 | 75,388 | 73,241 | 3,07,927 | ||
| 3. TOTAL INCOME (1+2) | 7,24,606 | 6,73,223 | 5,75,694 | 25,26,753 | ||
| 4. Interest expended | 4,03,890 | 3,78,324 | 3,10,594 | 13,89,478 | ||
| 5. Operating expenses (i)+(ii) | 1,70,625 | 1,83,864 | 1,34,865 | 6,19,827 | ||
| (i) | Employees cost | 73,802 | 88,689 | 61,674 | 2,82,309 | |
| (ii) | Other operating expenses | 96,823 | 95,175 | 73,191 | 3,37,518 | |
| 6. TOTAL EXPENDITURE (4+5) | 5,74,515 | 5,62,188 | 4,45,459 | 20,09,305 | ||
| 7. OPERATING PROFIT (3-6) | 1,50,091 | 1,11,035 | 1,30,235 | 5,17,448 | ||
| 8. Provisions (other than tax) and contingencies | 14,427 | (9,460) | 15,558 | 19,610 | ||
| 9. Exceptional items | | - | - | - | - | |
| 10. Profit from Ordinary Activities before tax | 1,35,664 | 1,20,495 | 1,14,677 | 4,97,838 | ||
| 11. Tax expense | | 34,711 | 29,865 | 29,303 | 1,25,778 | |
| 12. Net Profit from Ordinary Activities after tax (10-11) | 1,00,953 | 90,630 | 85,374 | 3,72,060 | ||
| 13. Extraordinary items (net of tax expense) | | - | - | - | - | |
| 14. Net Profit for the period (12-13) |
| 1,00,953 | 90,630 | 85,374 | 3,72,060 | |
| 15. Paid-up Equity Share Capital | 48,953 | 48,707 | 42,360 | 48,707 | ||
| 16. Reserves excluding Revaluation Reserve | | | | 28,60,234 | ||
| 17. Analytical Ratios and Other Disclosures: | | | | | | |
| (i) | Percentage of shares held by Government of India | NIL | NIL | NIL | NIL | |
| (ii) | Capital Adequacy ratio (%) (Refer note 5) | | | | | |
| | Under Basel III | 15.57 | 16.13 | 14.28 | 16.13 | |
| (iii) | Earnings per Share (EPS) (in ₹) | | | | | |
| | (a) Basic EPS (before and after extraordinary items) | 4.14* | 3.72* | 4.03* | 16.07 | |
| | (b) Diluted EPS (before and after extraordinary items) | 4.09* | 3.68* | 3.98* | 15.87 | |
| (iv) | NPA Ratios | | | | | |
| | a) Gross NPA | 4,73,835 | 4,52,887 | 4,43,477 | 4,52,887 | |
| | b) Net NPA | 1,33,044 | 1,25,533 | 1,27,459 | 1,25,533 | |
| | c) % of Gross NPA | 2.11 | 2.13 | 2.38 | 2.13 | |
| | d) % of Net NPA | 0.60 | 0.60 | 0.69 | 0.60 | |
| (v) | Return on Assets (%) | 0.32* | 0.30* | 0.32* | 1.32 | |
| (vi) | Net Worth | 30,30,084 | 29,08,941 | 22,24,775 | 29,08,941 | |
| (vii) | Outstanding Redeemable Preference Shares | NIL | NIL | NIL | NIL | |
| (viii) | Capital Redemption Reserve | NIL | NIL | NIL | NIL | |
| (ix) | Debenture Redemption Reserve | NIL | NIL | NIL | NIL | |
| (x) | Debt - Equity Ratio # | 0.71 | 0.62 | 0.95 | 0.62 | |
| (xi) | Total Debts to Total Assets # | 6.62% | 5.85% | 7.72% | 5.85% | |
| (xii) | Operating Margin | 20.71% | 16.49% | 22.62% | 20.48% | |
| (xiii) | Net Profit Margin | 13.93% | 13.46% | 14.83% | 14.72% | |
| | | | | | | |
| * Not Annualised | | | | | ||
| # Debt and Total Debts represents Total Borrowings of the Bank | | | ||||
| Segment Information@ |
| | | | |
| | | | | | (₹ in Lakhs) |
| Particulars | Quarter ended | Year ended | |||
| 30.06.2024 | 31.03.2024 | 30.06.2023 | 31.03.2024 | ||
| Unaudited | Audited | Unaudited | Audited | ||
| Segment Revenue: | | | | | |
| | Treasury | 1,11,473 | 90,473 | 77,243 | 3,53,336 |
| | Corporate/Wholesale Banking | 1,99,879 | 1,95,562 | 1,64,245 | 7,21,536 |
| | Retail Banking | 4,08,592 | 3,81,224 | 3,31,117 | 14,31,246 |
| | a) Digital Banking | 46,198 | 44,452 | 30,340 | 1,50,103 |
| | b) Other Retail Banking | 3,62,394 | 3,36,772 | 3,00,777 | 12,81,143 |
| | Other Banking operations | 4,606 | 5,799 | 2,949 | 20,071 |
| | Unallocated | 56 | 165 | 140 | 564 |
|
| Total Revenue | 7,24,606 | 6,73,223 | 5,75,694 | 25,26,753 |
| | Less: Inter Segment Revenue | - | - | - | - |
|
| Income from Operations | 7,24,606 | 6,73,223 | 5,75,694 | 25,26,753 |
| Segment Results (net of provisions): | |
| | | |
| | Treasury | 22,291 | 6,814 | 11,255 | 56,572 |
| | Corporate/Wholesale Banking | 37,245 | 42,671 | 40,024 | 1,62,157 |
| | Retail Banking | 72,157 | 65,916 | 60,751 | 2,61,486 |
| | a) Digital Banking | 4,094 | 7,546 | 3,520 | 22,559 |
| | b) Other Retail Banking | 68,063 | 58,370 | 57,231 | 2,38,927 |
| | Other Banking operations | 3,915 | 4,929 | 2,507 | 17,060 |
| | Unallocated | 56 | 165 | 140 | 563 |
|
| Profit before tax | 1,35,664 | 1,20,495 | 1,14,677 | 4,97,838 |
| Segment Assets: |
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| | Treasury | 69,91,289 | 63,09,635 | 55,44,511 | 63,09,635 |
| | Corporate/Wholesale Banking | 1,16,06,254 | 1,11,57,372 | 98,95,207 | 1,11,57,372 |
| | Retail Banking | 1,33,87,844 | 1,25,55,959 | 1,12,69,975 | 1,25,55,959 |
| | a) Digital Banking | 7,05,217 | 6,81,296 | 4,82,219 | 6,81,296 |
| | b) Other Retail Banking | 1,26,82,627 | 1,18,74,663 | 1,07,87,756 | 1,18,74,663 |
| | Other Banking operations | - | - | - | - |
| | Unallocated | 8,11,707 | 8,08,214 | 7,09,865 | 8,08,214 |
|
| Total | 3,27,97,094 | 3,08,31,180 | 2,74,19,558 | 3,08,31,180 |
| Segment Liabilities: |
| | | | |
| | Treasury | 32,96,960 | 28,80,492 | 30,91,221 | 28,80,492 |
| | Corporate/Wholesale Banking | 35,29,046 | 32,02,646 | 26,25,089 | 32,02,646 |
| | Retail Banking | 2,24,96,965 | 2,13,10,663 | 1,91,51,679 | 2,13,10,663 |
| | a) Digital Banking | 16,83,976 | 16,26,328 | 12,74,681 | 16,26,328 |
| | b) Other Retail Banking | 2,08,12,989 | 1,96,84,335 | 1,78,76,998 | 1,96,84,335 |
| | Other Banking operations | - | - | - | - |
| | Unallocated | 4,17,703 | 5,27,937 | 3,14,055 | 5,27,937 |
|
| Total | 2,97,40,674 | 2,79,21,738 | 2,51,82,044 | 2,79,21,738 |
| Capital Employed: | | | | | |
| (Segment Assets - Segment Liabilities) | | | | | |
| | Treasury | 36,94,329 | 34,29,143 | 24,53,290 | 34,29,143 |
| | Corporate/Wholesale Banking | 80,77,208 | 79,54,726 | 72,70,118 | 79,54,726 |
| | Retail Banking | (91,09,121) | (87,54,704) | (78,81,704) | (87,54,704) |
| | a) Digital Banking | (9,78,759) | (9,45,032) | (7,92,462) | (9,45,032) |
| | b) Other Retail Banking | (81,30,362) | (78,09,672) | (70,89,242) | (78,09,672) |
| | Other Banking operations | - | - | - | - |
| | Unallocated | 3,94,004 | 2,80,277 | 3,95,810 | 2,80,277 |
|
| Total | 30,56,420 | 29,09,442 | 22,37,514 | 29,09,442 |
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| | Notes: |
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| 1 | The above Standalone Unaudited Financial Results for the quarter ended June 30, 2024 were approved by the Board of Directors at its meeting held on July 24, 2024. These financial results have been subjected to limited review by the Joint Statutory Auditors of the Bank and an unmodified review report has been issued. | ||||
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| 2 | The above financial results of the Bank have been prepared in accordance with the provisions of the Banking Regulation Act, 1949, Generally Accepted Accounting Principles in India, including Accounting Standards as specified under Section 133 of the Companies Act, 2013, Regulation 33 and Regulation 52 read with Regulation 63(2) of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015, as amended, in so far as they apply to banks, and the guidelines issued by the RBI. | ||||
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| 3 | The Bank has applied significant accounting policies in the preparation of these financial results consistent with those followed in the annual financial statements for the year ended March 31, 2024 except as stated in Note 10 below. Any circular / direction issued by RBI is implemented prospectively when it becomes applicable, unless specifically required as per that circular / direction. | ||||
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| 4 | Other income includes fees earned from providing services to customers, commission from non-fund-based banking activities, earnings from foreign exchange and derivative transactions, selling of third-party products, profit on sale of investments (net), profit / loss on revaluation of investments, dividend received from subsidiaries / associates, recoveries from advances written off, etc. | ||||
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| 5 | The Capital Adequacy Ratio is computed on the basis of RBI guidelines applicable on the relevant reporting dates and the ratio for the corresponding previous period is not adjusted to consider the impact of subsequent changes if any, in the guidelines. | ||||
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| 6 | During the quarter ended June 30, 2024, the Bank has allotted 12,289,136 equity shares of ₹2 each, pursuant to the exercise of stock options by employees. | ||||
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| 7 | As per extant RBI guidelines, banks are required to make Pillar 3 disclosures including leverage ratio , liquidity coverage ratio and Net Stable Funding Ratio (NSFR) under the Basel III framework. Accordingly, such applicable disclosures have been placed on the website of the Bank which can be accessed at the following link: https://www.federalbank.co.in/regulatory-disclosures. These disclosures have not been subjected to audit or review by the Joint Statutory Auditors of the Bank. | ||||
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| 8 | Disclosures as per 'Master Direction - Reserve Bank of India (Transfer of Loan Exposures) Directions, 2021' dated September 24, 2021 for the loans transferred / acquired during the quarter ended June 30, 2024 are given below: | ||||
| | i) Details of loans not in default acquired through assignment during the quarter ended June 30, 2024 are given below: | ||||
| | | | | | |
| | Particulars | Value | | ||
| | Aggregate amount of loans acquired (₹ in lakhs) | 18,103.99 | | ||
| | Weighted average residual maturity (in years) | 0.97 | | ||
| | Weighted average holding period by originator (in years) | 0.28 | | ||
| | Retention of beneficial economic interest by the originator (₹ in lakhs) | 41,784.61 | | ||
| | Tangible security coverage | 55.81% | | ||
| | Rating-wise distribution | | | | |
| | A1+ | 55.81% | | ||
| | Unrated | 44.19% | | ||
| | | | | | |
| | ii) During the quarter ended June 30, 2024, the bank has not acquired any stressed loans and not transferred any loan not in default / Special Mention Accounts (SMA) / stressed loans. | ||||
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| | iii) Book value of security receipts outstanding as on June 30, 2024 is nil. | ||||
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| 9 | The figures for the quarter ended March 31, 2024 are the balancing figures between audited figures in respect of the financial year 2023-24 and the published year to date figures upto December 31, 2023, which were subjected to limited review. | ||||
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| 10 | During the quarter ended June 30, 2024, the Bank implemented the RBI Master Direction - Classification, Valuation, and Operation of Investment Portfolio of Commercial Banks (Directions), 2023, dated September 12, 2023. This directive is applicable to banks from April 01, 2024. Consequent to the transition provisions, the Bank's reserves increased by ₹ 33,975.39 lakhs (net of taxes) as on April 01, 2024, on account of revision in the carrying value of investments to the fair value as on such date. The impact of the revised framework for the period subsequent to transition is not ascertainable, making the income/profit or loss from investments for the quarter ended June 30, 2024, incomparable with the previous year/periods. | ||||
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| 11 | The figures for the quarter ended June 30, 2023 were reviewed by previous Joint Statutory Auditors. | ||||
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| 12 | Previous period's figures have been regrouped / reclassified, wherever necessary to conform to current period's classification. | ||||
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| | | | SHYAM SRINIVASAN | | |
| Kochi | | MANAGING DIRECTOR & CEO | | ||
| July 24, 2024 | | (DIN: 02274773) | | ||
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| THE FEDERAL BANK LIMITED | ||||||
| REGD.OFFICE: P.B.NO. 103, FEDERAL TOWERS, ALUVA-683101 | ||||||
| (CIN: L65191KL1931PLC000368) | ||||||
| CONSOLIDATED UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED JUNE 30, 2024 | ||||||
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| (₹ in Lakhs) | |
| Particulars | Quarter ended | Year ended | ||||
| 30.06.2024 | 31.03.2024 | 30.06.2023 | 31.03.2024 | |||
| Unaudited | Audited | Unaudited | Audited | |||
| 1. Interest earned (a)+(b)+(c)+(d) | 6,72,760 | 6,33,922 | 5,34,977 | 23,56,547 | ||
| (a) | Interest/discount on advances/bills | 5,41,918 | 5,09,954 | 4,36,293 | 19,10,130 | |
| (b) | Income on investments | 1,10,722 | 1,03,082 | 81,475 | 3,68,570 | |
| (c) | Interest on balances with Reserve Bank of India and other inter bank funds | 10,269 | 9,837 | 7,093 | 33,887 | |
| (d) | Others | 9,851 | 11,049 | 10,116 | 43,960 | |
| 2. Other income (Refer note 5) | 93,605 | 80,990 | 74,131 | 3,21,648 | ||
| 3. TOTAL INCOME (1+2) | 7,66,365 | 7,14,912 | 6,09,108 | 26,78,195 | ||
| 4. Interest expended | 4,21,153 | 3,93,634 | 3,25,451 | 14,49,467 | ||
| 5. Operating expenses (i)+(ii) | 1,87,490 | 1,99,327 | 1,46,944 | 6,76,670 | ||
| (i) | Employees cost | 84,455 | 98,533 | 69,326 | 3,17,970 | |
| (ii) | Other operating expenses | 1,03,035 | 1,00,794 | 77,618 | 3,58,700 | |
| 6. TOTAL EXPENDITURE (4+5) | 6,08,643 | 5,92,961 | 4,72,395 | 21,26,137 | ||
| 7. OPERATING PROFIT (3-6) | 1,57,722 | 1,21,951 | 1,36,713 | 5,52,058 | ||
| 8. Provisions (other than tax) and contingencies | 17,288 | (7,653) | 16,469 | 25,958 | ||
| 9. Exceptional items | | - | - | - | - | |
| 10. Profit from Ordinary Activities before tax | 1,40,434 | 1,29,604 | 1,20,244 | 5,26,100 | ||
| 11. Tax expense | | 36,432 | 32,365 | 31,070 | 1,33,347 | |
| 12. Net Profit from Ordinary Activities after tax (10-11) | 1,04,002 | 97,239 | 89,174 | 3,92,753 | ||
| 13. Extraordinary items (net of tax expense) | | - | - | - | - | |
| 14. Net Profit for the period (12-13) |
| 1,04,002 | 97,239 | 89,174 | 3,92,753 | |
| 15. Minority interest | | 1,992 | 2,538 | 1,378 | 8,361 | |
| 16. Share in Profit of Associates | | 741 | 2,378 | 216 | 3,651 | |
| 17. Consolidated Net Profit of the group | 1,02,751 | 97,079 | 88,012 | 3,88,043 | ||
| 18. Paid-up Equity Share Capital | 48,953 | 48,707 | 42,360 | 48,707 | ||
| 19. Reserves excluding Revaluation Reserve | | | | 29,61,328 | ||
| 20. Analytical Ratios and Other Disclosures: | | | | | | |
| (i) | Percentage of shares held by Government of India | NIL | NIL | NIL | NIL | |
| (ii) | Earnings per Share (EPS) (in `) | | | | | |
| | (a) Basic EPS (before and after extraordinary items) | 4.21* | 3.99* | 4.16* | 16.76 | |
| | (b) Diluted EPS (before and after extraordinary items) | 4.16* | 3.94* | 4.11* | 16.55 | |
| * Not Annualised | | | | | ||
| Segment Information@ |
| | | | |
| | | | | | (₹ in Lakhs) |
| Particulars | Quarter ended | Year ended | |||
| 30.06.2024 | 31.03.2024 | 30.06.2023 | 31.03.2024 | ||
| Unaudited | Audited | Unaudited | Audited | ||
| Segment Revenue: | | | | | |
| | Treasury | 1,10,312 | 91,225 | 76,433 | 3,54,655 |
| | Corporate/Wholesale Banking | 1,97,774 | 1,94,207 | 1,63,630 | 7,16,785 |
| | Retail Banking | 4,51,420 | 4,20,444 | 3,64,558 | 15,77,884 |
| | a) Digital Banking | 46,198 | 44,452 | 30,340 | 1,50,103 |
| | b) Other Retail Banking | 4,05,222 | 3,75,992 | 3,34,218 | 14,27,781 |
| | Other Banking operations | 6,719 | 8,871 | 4,347 | 28,307 |
| | Unallocated | 140 | 165 | 140 | 564 |
|
| Total Revenue | 7,66,365 | 7,14,912 | 6,09,108 | 26,78,195 |
| | Less: Inter Segment Revenue | - | - | - | - |
|
| Income from Operations | 7,66,365 | 7,14,912 | 6,09,108 | 26,78,195 |
| Segment Results (net of provisions): | | | | | |
| | Treasury | 21,710 | 8,144 | 11,024 | 60,218 |
| | Corporate/Wholesale Banking | 37,077 | 42,631 | 39,858 | 1,61,741 |
| | Retail Banking | 76,300 | 71,655 | 66,019 | 2,81,773 |
| | a) Digital Banking | 4,094 | 7,546 | 3,520 | 22,559 |
| | b) Other Retail Banking | 72,206 | 64,109 | 62,499 | 2,59,214 |
| | Other Banking operations | 5,207 | 7,009 | 3,203 | 21,805 |
| | Unallocated | 140 | 165 | 140 | 563 |
|
| Profit before tax | 1,40,434 | 1,29,604 | 1,20,244 | 5,26,100 |
| Segment Assets: |
|
|
|
|
|
| | Treasury | 70,22,857 | 63,38,835 | 55,42,708 | 63,38,835 |
| | Corporate/Wholesale Banking | 1,15,05,466 | 1,10,79,450 | 98,40,909 | 1,10,79,450 |
| | Retail Banking | 1,44,73,648 | 1,35,59,659 | 1,21,32,226 | 1,35,59,659 |
| | a) Digital Banking | 7,05,217 | 6,81,296 | 4,82,219 | 6,81,296 |
| | b) Other Retail Banking | 1,37,68,431 | 1,28,78,363 | 1,16,50,007 | 1,28,78,363 |
| | Other Banking operations | 679 | 508 | 1,413 | 508 |
| | Unallocated | 8,07,038 | 8,05,443 | 7,09,865 | 8,05,443 |
|
| Total | 3,38,09,688 | 3,17,83,895 | 2,82,27,121 | 3,17,83,895 |
| Segment Liabilities: |
| | | | |
| | Treasury | 33,84,765 | 29,64,257 | 31,49,951 | 29,64,257 |
| | Corporate/Wholesale Banking | 35,28,378 | 32,00,510 | 26,28,875 | 32,00,510 |
| | Retail Banking | 2,32,38,699 | 2,20,01,023 | 1,97,95,561 | 2,20,01,023 |
| | a) Digital Banking | 16,83,976 | 16,26,328 | 12,74,681 | 16,26,328 |
| | b) Other Retail Banking | 2,15,54,723 | 2,03,74,695 | 1,85,20,880 | 2,03,74,695 |
| | Other Banking operations | 330 | 356 | 330 | 356 |
| | Unallocated | 4,13,034 | 5,25,166 | 3,14,055 | 5,25,166 |
|
| Total | 3,05,65,206 | 2,86,91,312 | 2,58,88,772 | 2,86,91,312 |
| Capital Employed: | | | | | |
| (Segment Assets - Segment Liabilities) | | | | | |
| | Treasury | 36,38,092 | 33,74,578 | 23,92,757 | 33,74,578 |
| | Corporate/Wholesale Banking | 79,77,088 | 78,78,940 | 72,12,034 | 78,78,940 |
| | Retail Banking | (87,65,051) | (84,41,364) | (76,63,335) | (84,41,364) |
| | a) Digital Banking | (9,78,759) | (9,45,032) | (7,92,462) | (9,45,032) |
| | b) Other Retail Banking | (77,86,292) | (74,96,332) | (68,70,873) | (74,96,332) |
| | Other Banking operations | 349 | 152 | 1,083 | 152 |
| | Unallocated | 3,94,004 | 2,80,277 | 3,95,810 | 2,80,277 |
|
| Total | 32,44,482 | 30,92,583 | 23,38,349 | 30,92,583 |
|
|
| | | | |
| @ | For the above segment reporting, the reportable segments are identified as Treasury, Corporate/Wholesale Banking, Retail Banking (with Digital Banking and Other Retail Banking as sub-segments) and Other Banking Operations in compliance with the RBI guidelines. | ||||
| | Notes: |
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| | | | | | |
| 1 | The above Consolidated Unaudited Financial Results for the quarter ended June 30, 2024 were approved by the Board of Directors at its meeting held on July 24, 2024. These financial results have been subjected to review by the Joint Statutory Auditors of the Bank and an unmodified review report has been issued. | ||||
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| 2 | The above financial results of the group have been prepared in accordance with the provisions of the Banking Regulation Act, 1949, Generally Accepted Accounting Principles in India, including Accounting Standards as specified under Section 133 of the Companies Act, 2013, Regulation 33 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015, as amended and the guidelines issued by the RBI. | ||||
| | | | | | |
| 3 | The Consolidated Financial Results of the Group comprise the financial results of The Federal Bank Limited and its subsidiaries viz. Fedbank Financial Services Limited & Federal Operations and Services Limited and its associates viz. Ageas Federal Life Insurance Company Limited & Equirus Capital Private Limited. | ||||
| | | | | | |
| 4 | There has been no material change in the accounting policies applied in the preparation of these financial results with those followed in the annual financial statements for the year ended March 31, 2024 except as stated in Note 8 below. | ||||
| | | | | | |
| 5 | Other income includes fees earned from providing services to customers, commission from non-fund-based banking activities, earnings from foreign exchange and derivative transactions, selling of third-party products, profit on sale of investments (net), profit / loss on revaluation of investments, recoveries from advances written off, etc. | ||||
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| 6 | As per extant RBI guidelines, banks are required to make Pillar 3 disclosures including leverage ratio , liquidity coverage ratio and Net Stable Funding Ratio (NSFR) under the Basel III framework. Accordingly, such applicable disclosures have been placed on the website of the Bank which can be accessed at the following link: https://www.federalbank.co.in/regulatory-disclosures. These disclosures have not been subjected to audit or review by the Joint Statutory Auditors of the Bank. | ||||
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| 7 | The figures for the quarter ended March 31, 2024 are the balancing figures between audited figures in respect of the financial year 2023-24 and the published year to date figures upto December 31, 2023, which were subjected to limited review. | ||||
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| 8 | During the quarter ended June 30, 2024, the Group implemented the RBI Master Direction - Classification, Valuation, and Operation of Investment Portfolio of Commercial Banks (Directions), 2023, dated September 12, 2023. This directive is applicable to banks from April 01, 2024. Consequent to the transition provisions, the group's reserves increased by ₹ 34,171.80 lakhs (net of taxes) as on April 01, 2024, on account of revision in the carrying value of investments to the fair value as on such date. The impact of the revised framework for the period subsequent to transition is not ascertainable, making the income/profit or loss from investments for the quarter ended June 30, 2024, incomparable with the previous year/periods. | ||||
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| 9 | The figures for the quarter ended June 30, 2023 were reviewed by previous Joint Statutory Auditors. | ||||
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| 10 | Previous period's figures have been regrouped / reclassified, wherever necessary to conform to current period's classification. | ||||
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| | | | | | |
| | | | SHYAM SRINIVASAN | ||
| Kochi | | MANAGING DIRECTOR & CEO | |||
| July 24, 2024 | | (DIN: 02274773) | |||
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